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Cross-ownership and strategic environmental corporate social responsibility under price competition Environ. Dev. Econ. (IF 2.383) Pub Date : 2024-03-11 Mingqing Xing, Sang-Ho Lee
This paper examines the impact of cross-ownership on the strategic incentive of environmental corporate social responsibility (ECSR) within a green managerial delegation contract in a triopoly market engaged in price competition. It demonstrates that bilateral cross-ownership between insiders provides weak incentives to undertake ECSR, which has a non-monotone relationship with cross-ownership shares
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Agricultural subsidies: cutting into forest conservation? Environ. Dev. Econ. (IF 2.383) Pub Date : 2024-02-06 Fanny Moffette, Jennifer Alix-Garcia
We examine how agricultural subsidies may induce deforestation and interact with conservation programs by analyzing two large-scale national programs in Mexico that have existed simultaneously for more than a decade: an agricultural subsidy for livestock (PROGAN) and a program of payments for ecosystem services (PES). Looking across the entire Mexican landscape, we exploit the surprises in the timing
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Monitoring and management of common property resources: empirical evidence from forest user groups in Ethiopia Environ. Dev. Econ. (IF 2.383) Pub Date : 2024-01-11 Goytom Abraha Kahsay, Erwin Bulte
The presence of monitoring institutions affects quality and effort of leaders. We investigate the effect of intensified monitoring on the ability and effort of leaders for a sample of forest user groups in Ethiopia, and find experimental and non-experimental evidence of an important trade-off: monitoring increases leaders' effort but lowers their quality in terms of education and experience. This effort–ability
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Boosted income, busted environment: a tradeoff in the wider economic impacts of transport corridor investments? Environ. Dev. Econ. (IF 2.383) Pub Date : 2024-01-09 Martin Melecky, Siddharth Sharma, Hari Subhash
The literature on the impacts of transport corridors points to a tradeoff between income and environmental quality. We estimate the impacts of India's Golden Quadrilateral and North-South-East-West highways on income and environmental quality to test this tradeoff hypothesis. Applying the difference-in-difference method to district level data, we find that the highways increased both local income and
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Was global deforestation under lockdown? Environ. Dev. Econ. (IF 2.383) Pub Date : 2023-12-04 Santiago Saavedra
The COVID-19 pandemic and government responses led to a halt in economic activity. While this reduced pollution in urban areas, its effect on deforestation in areas outside of cities is unclear. Deforestation may have decreased due to the restrictions on economic activity, but, it may have increased due to the drying up of alternative income sources. We analyzed bi-weekly data on tropical forests worldwide
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Long-run management of Greenland's fishery on Greenland halibut (Reinhardtius hippoglossoides) Environ. Dev. Econ. (IF 2.383) Pub Date : 2023-11-29 Frank Jensen, Ayoe Hoff, Jette Bredahl Jacobsen, Henrik Meilby
In this paper, we consider four scenarios for economic optimal management of a fisheries resource by a high sea and coastal fleet segment. These scenarios differ with respect to whether a common or two separate fish stocks are considered and whether the profit from land-based processing is included. The model is parametrized using the Greenland halibut fishery on the west coast of Greenland as an empirical
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The direct and indirect economic consequences of climate damage in poor countries Environ. Dev. Econ. (IF 2.383) Pub Date : 2023-11-24 John Knight
The predictions of the adverse effects of greenhouse gas emissions on climate change are now accepted. Somewhat less attention has been given to the economic, social, and political consequences. The three interact: the former will have social and political effects, which in turn will harm economies and economic well-being. This analysis of poor countries draws on much recent evidence and various projections
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Globalization of markets and consumption home bias: new insights for the environment Environ. Dev. Econ. (IF 2.383) Pub Date : 2023-10-09 Ornella Tarola, Skerdilajda Zanaj
We propose a model of international oligopoly with two countries, two vertically-differentiated goods, and heterogeneous consumers in terms of their willingness to pay for quality. Various sources of pollution are taken into account: consumption, production and the transportation of goods between the two countries. Green persuaded consumers display consumption home bias: they derive additional satisfaction
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Nature in the concrete jungle: valuing urban ecosystem services in Costa Rica Environ. Dev. Econ. (IF 2.383) Pub Date : 2023-10-09 Matías Piaggio, Juha Siikamäki
Urban green spaces are primarily recognized for their ability to provide opportunities for recreational activities. However, these spaces also offer a broader range of ecosystem services and benefits, which are often overlooked by city inhabitants and the government. This paper utilizes choice experiments to estimate the benefits derived from ecosystem services provided by undeveloped natural areas
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Adaptive capacity and subsequent droughts: evidence from Ethiopia Environ. Dev. Econ. (IF 2.383) Pub Date : 2023-10-02 Utsoree Das, Salvatore Di Falco, Avichal Mahajan
We estimate the impact of subsequent droughts on the revenues of farmers in Ethiopia factoring in their adaptive capacity. We find that after the first drought, there is no significant difference in the revenue of the farmers who experienced a drought, as compared to those who did not. However, there is a loss in revenue after the second drought, specifically for those farmers that are endowed with
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Temperature and convictions: evidence from India Environ. Dev. Econ. (IF 2.383) Pub Date : 2023-08-23 Terry-Ann Craigie, Vis Taraz, Mariyana Zapryanova
High temperatures have been shown to affect human cognition and decision-making in a variety of settings. In this paper, we explore the extent to which higher temperatures affect judicial decision-making in India. We use data on judicial decisions from the Indian eCourt platform, merged with high-resolution gridded daily weather data. We estimate causal effects by leveraging a fixed effects framework
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Environmental management, environmental innovation, and productivity growth: a global firm-level investigation Environ. Dev. Econ. (IF 2.383) Pub Date : 2023-07-18 Ruohan Wu
This paper empirically investigates the economic effects of environmental activities. To be specific, it investigates the interactive influence of firms' environmental management and environmental innovation on their productivity. We consider both internal and external environmental management practices of global firms observed from 41 countries between 2017 and 2019. We also consider both inputs and
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Environmental delegation versus sales delegation: a game-theoretic analysis Environ. Dev. Econ. (IF 2.383) Pub Date : 2023-03-20 Domenico Buccella, Luciano Fanti, Luca Gori
Recently, in their 2019 paper, Poyago-Theotoky and Yong consider a managerial Cournot duopoly with pollution externalities and emission taxes and propose an explicit environmental incentive in a managerial compensation contract. The authors compare several exogenous equilibria emerging in the symmetric sub-games in which the owner offers either the environmental delegation contract or the standard
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A real-options analysis of climate change and international migration Environ. Dev. Econ. (IF 2.383) Pub Date : 2023-03-06 Marius Braun
The potential impact of climate change on international migration patterns has recently received considerable attention, yet much of the empirical literature fails to find increases in international migration due to climate change. This paper attempts to resolve this “immobility paradox” by applying a real-options framework to the relationship between climate change and international migration. This
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Does idiosyncratic risk matter for climate policy? Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-11-02 Richard Jaimes
This paper studies the implications of distortions in intertemporal margins for the conduct of climate policy. We do so by introducing a framework that combines a standard two-period overlapping generations (OLG) model with a tractable model of household heterogeneity, in which over-accumulation of capital arises from uninsurable idiosyncratic labor income risk. We illustrate that market-based climate
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Unravelling the pastoralist paradox – preferences for land tenure security and flexibility in Kenya Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-10-19 Göran Bostedt, Erlend Dancke Sandorf, Stephen M. Mureithi, Deborah N. Muricho
In this paper, we use a discrete choice experiment conducted among pastoralists in four different semi-arid counties in Kenya characterized by different land tenure regimes to analyze how pastoralists make tradeoffs between tenure security and grazing flexibility – the so-called pastoralist paradox. Results show that there is one group of respondents who are desperate for change and seem to prefer
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Greenhouse gases mitigation: global externalities and short-termism Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-10-13 Giovanni Di Bartolomeo, Behnaz Minooei Fard, Willi Semmler
Policies designed to control greenhouse gases imply domestic tradeoffs and international externalities, which lead to both domestic and international conflicts, influencing their feasibility and implementations. Our paper investigates two quantitative aspects within this debate. We intend to quantify the impact of: (a) the internalization of international externalities; and (b) the damage associated
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Reducing carbon footprint by replacing generators with solar PV systems: a contingent valuation study in Lagos, Nigeria Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-10-06 Eleanya Nduka
Nigeria is endowed with abundant sunshine year-round; thus, solar PV would solve the environmental problems associated with petrol-powered generators. However, it is unclear whether households are willing to transition. Thus, we analyze households’ willingness to pay (WTP) for solar PV under four scenarios: (i) WTP when a solar PV is complemented with a generator, (ii) WTP when a solar PV completely
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Background risk and risk-taking – evidence from the field Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-09-27 Linda Kleemann, Marie-Catherine Riekhof
Most decisions involving risk are not taken in isolation. In addition to the risk from that decision, other independent, so-called ‘background’ risks, are considered. Our research adds to the growing evidence that this background risk influences risk-taking. We report results from a repeated lab-in-the-field investment task with Senegalese fishers in the presence of background risk related to their
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Modeling farmers' preference and willingness to pay for improved climate services in Rwanda Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-09-27 Abonesh Tesfaye, James Hansen, Desire Kagabo, Eliud Birachi, Maren Radeny, Dawit Solomon
This study aims to understand how Rwandan farmers value the improved characteristics of climate services introduced to them in a choice experiment setting. Data were collected from 1,525 household heads in November 2019. A random parameters logit model was used to analyze the data. Results suggest that Rwandan farmers value forecast accuracy, dissemination through a combination of extension agents
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COVID-19, climate shocks, and food security linkages: evidence and perceptions from smallholder farming communities in Tanzania Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-09-09 Violet Lasdun, Aurélie P. Harou, Christopher Magomba, Aika Aku
Insights on the indirect effects of the COVID-19 pandemic are critical for designing and implementing policies to alleviate the food security burden it may have caused, and for bolstering rural communities against similar macroeconomic shocks in the future. Yet estimating the causal effects of the pandemic is difficult due to its ubiquitous nature and entanglement with other shocks. In this descriptive
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The impact of weather shocks on employment outcomes: evidence from South Africa Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-09-09 Harriet Brookes Gray, Vis Taraz, Simon D. Halliday
Climate change is increasing the frequency of extreme weather events, such as drought and heat waves. In this paper, we assess the impact of drought and high temperatures on the employment outcomes of working-age individuals in South Africa between 2008 and 2017. We merge high-resolution weather data with detailed individual-level survey data on labor market outcomes, and estimate causal impacts using
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Lasting impact on health from natural disasters, potential mechanisms and mitigating effects Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-09-06 Gaurav Dhamija, Gitanjali Sen
Exposure to extreme shocks in early life is found to have a lasting impact in adulthood. Exploiting the variation in exposure measured by age and intensity of an earthquake, we evaluate the impact of a 7.7 MW earthquake in Gujarat, India, on the health stock of children who were in utero or below three years. Using the India Human Development Survey data from 2004–05 and earthquake intensity data,
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Avoiding catastrophic collapse in small-scale fisheries through inefficient cooperation: evidence from a framed field experiment Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-08-15 Therese Lindahl, Rawadee Jarungrattanapong
Small-scale fisheries (SSFs) are significant for poverty alleviation, but are threatened by over-exploitation and climate change effects such as drastic drops in regrowth rates. How will fishers adapt? To shed light on this, we ran a common-pool resource experiment with SSF fishers in Thailand. Our results show that groups confronted with a potential abrupt drop in the regrowth rate are more likely
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Migration response to drought in Mali. An analysis using panel data on Malian localities over the 1987-2009 period Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-08-15 Dimitri Defrance, Esther Delesalle, Flore Gubert
This paper combines population and climate data to estimate the volume of migration induced by the drought events that have hit Mali since the late 1980s. The results show that droughts have had the effect of decreasing net migration rates in the affected localities. This is true for both men and women, regardless of their age. The effect of drought episodes, however, is found to differ according to
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Differentiation strategies in coffee farms: opportunities for Costa Rican growers Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-08-08 Jorge A. Valenciano-Salazar, Francisco J. André, Rafael Díaz-Porras
This study investigates the determinants of coffee prices received by growers in Costa Rica, paying attention to the impact of environmental, regional, quality, and international aspects in a panel data set for the period 2008–2016. We identify three groups of variables that affect domestic coffee prices. Some of them are external to the control of the coffee growers, such as the international price
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Composition and sensitivity of residential energy consumption Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-06-28 Raul Jimenez Mori, Ariel Yepez-Garcia, Demian Macedo
We examine how the composition of residential energy consumption and its sensitivity with respect to income changes. The paper characterizes the energy transition, analyzing the behavior of income elasticity of energy demand along the economic development stages by fuel types. The results indicate a nonlinear relationship between income and domestic energy consumption that can be explained by two factors
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Impact of payments for forest environmental services on households' livelihood: a case study in the Central Highlands of Vietnam Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-06-28 Van Truong Pham, Saowalak Roongtawanreongsri, Thong Quoc Ho, Phuong Hanh Niekdam Tran
Payments for environmental services have been popularly used in environmental management and an increasing number of studies assesses their contribution to local livelihoods. This study employs propensity score matching with a dataset of 404 indigenous households in the Central Highlands of Vietnam to evaluate the effect of payments for forest environmental services (PFES) on their livelihoods. Participating
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Land capital and emissions convergence in an extended Green Solow model Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-06-28 María Dolores Guilló, Manuela Magalhães
The main purpose of this paper is to analyze the contribution of land capital to the growth of emissions and income per capita in the long run. We collect new satellite data from the Earth Observatory to obtain estimates of the Enhanced Vegetation Index at the country level for the period 2000–2015. We use these data and the World Bank wealth estimates of natural capital to calibrate and empirically
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Using choice modelling to identify popular and affordable alternative interventions for schistosomiasis in Uganda Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-05-10 Keila Meginnis, Nick Hanley, Lazaaro Mujumbusi, Lucy Pickering, Poppy H. L. Lamberton
Schistosomiasis is caused by a vector-borne parasite, commonly found in low- and middle-income countries. People become infected by direct contact with contaminated water through activities such as collecting water, bathing and fishing. Water becomes contaminated when human waste is not adequately contained. We administered a discrete choice experiment to understand community preferences for interventions
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Rainfall shocks and fertilizer use: a district level study of India Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-02-14 Kaushik Bora
In the context of climate change and increasing occurrences of extreme events, it is essential to understand farmers' responses to weather shocks and adaptations. This paper uses a panel dataset of 311 selected Indian districts ranging from 1966 to 2009 to investigate how application of chemical fertilizers varies in response to rainfall shocks. Two rainfall shock measures are constructed based on
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An assessment of the Extractive Industries Transparency Initiative (EITI) using the Bayesian Corruption Indicator – Erratum Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-02-11 Paul Fenton Villar
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The challenge of making climate adaptation profitable for farmers: evidence from Sri Lanka's rice sector Environ. Dev. Econ. (IF 2.383) Pub Date : 2022-01-31 Antonio Scognamillo, Nicholas Sitko, Sidath Bandara, Shantha Hewage, Thilani Munaweera, Jihae Kwon
Adapting agricultural systems to changes in seasonal precipitation is critical for the agricultural sector in Sri Lanka. This paper presents evidence on the adoption drivers and the welfare impacts of agricultural strategies adopted by Sri Lankan rice farmers to adapt to low rainfall conditions. We estimate the causal impact of adopting different adaptive strategies across three different dimensions:
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An assessment of the Extractive Industries Transparency Initiative (EITI) using the Bayesian Corruption Indicator Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-12-10 Paul Fenton Villar
Advocated across the international community for more than 15 years, the Extractive Industries Transparency Initiative (EITI) is now widely recognised as a hallmark anti-corruption scheme in the extractive sector. This study presents an assessment of the relationship between EITI membership and countries’ progress in tackling corruption. It provides the first study that looks at this issue using a
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How can we improve air pollution? Try increasing trust first Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-12-10 Bridget Lynn Hoffmann, Carlos Scartascini, Fernando G. Cafferata
Environmental policies are characterized by salient short-term costs and long-term benefits that are difficult to observe and to attribute to the government's efforts. These characteristics imply that citizens’ support for environmental policies is highly dependent on their trust in the government's capability to implement solutions and commitment to investments in those policies. Using novel survey
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Open access renewable resources, urban unemployment, and the resolution of dual institutional failures Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-11-16 Ichiroh Daitoh, Nori Tarui
This paper investigates how poverty reduction and natural resource preservation can be simultaneously achieved in a small open dual economy with urban wage rigidity, open access rural resources, and rural-urban migration. An increase in the export tax rate on the rural resource good increases urban unemployment in both the short run and the long run with resource dynamics. Given the institutional failures
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Worth its weight in gold: is the extractive industries transparency initiative a credible signalling mechanism to investors? Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-11-11 Jamie Fraser
This paper seeks to understand the link between resource governance and investor expectations in resource-rich countries. We test whether voluntary membership in the Extractive Industries Transparency Initiative (EITI), a public-private partnership that promotes transparency and accountability in the extractives sector, behaves as a credible signalling mechanism to investors that governments in resource-rich
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Investigating the role of spatial spillovers as determinants of land conversion in urbanizing Canada Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-11-09 Feng Qiu, Qingmeng Tong, Junbiao Zhang
Although the impacts of income, population growth, and other important determinants of land-use change have been widely studied, there is less understanding of how spatial spillovers matter. Utilizing a spatial econometric approach, we investigate the main determinants of natural landscape conversion, focusing on quantifying local and global spatial spillovers. The empirical investigation applies to
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Export market participation and environmental actions of enterprises in Vietnam Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-10-06 Uchenna Efobi
The outcome of environmental actions from participation in the export market are examined by unpacking some mechanisms that explain the estimated relationship. The empirical strategy utilizes the variation in the distance between the location of the sampled enterprises and the top 25 destinations of Vietnamese exports across sectors, and the weight of each sampled export to total exports in each period
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Tradeoffs between fertility and child development attributes: evidence from coral bleaching in Indonesia Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-09-17 Pasita Chaijaroen
Coral bleaching is associated with large income shocks and a substantial decrease in protein consumption among the affected fishery households in Indonesia [Chaijaroen (2019) Long-lasting income shocks and adaptations: evidence from coral bleaching in Indonesia. Journal of Development Economics136, 119–136]. According to the health and economics literature, early childhood exposures to shocks such
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Happiness in the tropics: climate variables and subjective wellbeing Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-09-09 Oscar Zapata
Changes in climatic patterns are expected to have significant effects on health and wellbeing. However, the literature on the effect of climate on subjective wellbeing remains scant and existing studies focus mostly on developed countries or cross-country analyses. This paper aims to identify the relationship between climate conditions on happiness after controlling for individual and social characteristics
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The impact of the COVID-19 enforced lockdown and fiscal package on the South African economy and environment: a preliminary analysis Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-09-07 Margaret Chitiga-Mabugu, Martin Henseler, Ramos Mabugu, Helene Maisonnave
This paper offers a quantitative assessment of the impacts of the COVID-19 pandemic-induced lockdown and government fiscal plan, containing ‘green’ elements on the economy and the environment of South Africa. The analysis uses a dynamic computable general equilibrium model operationalised using a social accounting matrix coupled with a greenhouse gas balance and emissions data. We find that while the
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Land rights and the economic impacts of climatic anomalies on agriculture: evidence from Ethiopia Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-08-12 Mintewab Bezabih, Salvatore Di Falco, Alemu Mekonnen, Gunnar Kohlin
This paper shows that strengthening land rights via a land certification program may reduce the negative economic impact of climatic anomalies in the highlands of Ethiopia. The results support the hypothesis that certification enhances the likelihood of adapting some of the land-related investments, thus supporting adaptation enhancing mechanisms and the resilience of the farming sector. Institutional
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The dynamics of deforestation and reforestation in a developing economy Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-08-11 Julien Wolfersberger, Gregory S. Amacher, Philippe Delacote, Arnaud Dragicevic
We develop a model of optimal land allocation in a developing economy that features three possible land uses: agriculture, primary and secondary forests. The distinction between those forest types reflects their different contributions in terms of public goods. In our model, reforestation is costly because it undermines land title security. Using the forest transition concept, we study long-term land-use
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Barren Lives: drought shocks and agricultural vulnerability in the Brazilian Semi-Arid - Corrigendum Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-08-06 Lucas Costa,André Albuquerque Sant'Anna,Carlos Eduardo Frickmann Young
This paper studies the effects of drought shocks in a vulnerable environment – the Brazilian SemiArid. We analyze the impact of drought shocks, measured as deviations from historical averages, on agricultural outcomes and land-use decisions in a region that suffers recurrently with drought. After controlling for municipality and year fixed effects, we use weather shocks to exactly identify outcomes
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‘Green’ managerial delegation theory Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-08-03 Domenico Buccella, Luciano Fanti, Luca Gori
This article develops a non-cooperative game with managerial quantity-setting firms in which owners choose whether to delegate output and abatement decisions to managers through a contract based on emissions (conventionally denoted as ‘green’ delegation, GD) instead of sales (sales delegation, SD), and the government levies an emissions tax to incentivise firms’ emissions-reduction actions. First,
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Barren lives: drought shocks and agricultural vulnerability in the Brazilian Semi-Arid Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-07-07 Lucas Costa, André Albuquerque Sant'Anna, Carlos Eduardo Frickmann Young
This paper studies the effects of drought shocks in a vulnerable environment – the Brazilian Semi-Arid. We analyze the impact of drought shocks, measured as deviations from long-run historical averages, on agricultural outcomes in a region that suffers recurrently from drought. After controlling for municipality and year fixed effects, we use weather shocks to exactly identify outcomes. Our benchmark
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The role of nonzero conjectural variation in pollution abatement and output in the design of emission taxes Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-06-01 Luis Gautier
The presence of nonzero conjectural variations in pollution abatement and output make emission taxes less effective with respect to reducing emissions. This has implications for the characterization of the optimal emission tax, particularly in an international context where there are large asymmetries in pollution intensities. A higher degree of collusion in output between polluting firms results in
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Beyond the Nation-state Narrative: An Empirical Inquiry into the Cross-Country and Cross-Income-Group Carbon Consumption Patterns – Corrigendum Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-05-21 Ying Chen,Güney Işıkara
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Climate resilience in rural Zambia: evaluating farmers’ response to El Niño-induced drought Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-04-26 Federica Alfani, Aslihan Arslan, Nancy McCarthy, Romina Cavatassi, Nicholas Sitko
This paper aims at identifying whether and how sustainable land management practices and livelihood diversification strategies have contributed to moderating the impacts of the El Niño-related drought in Zambia. This is done using a specifically designed survey called the El Niño Impact Assessment Survey, which is combined with the Rural Agricultural Livelihoods Surveys, as well as high resolution
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Determinants of uptake and strategies to improve agricultural insurance in Africa: a review Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-04-12 Emmanuel Nshakira-Rukundo, Juliet Wanjiku Kamau, Heike Baumüller
Weather shocks affect smallholder farmers and pastoralists in Sub-Saharan Africa unequally. Agricultural insurance has emerged as a safety net option to protect farmers’ welfare. However, in comparison to other regions, fewer African farmers and pastoralists have adopted agricultural insurance. This review synthesises broad recent literature on why insurance take-up has remained low and highlights
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Do temperature shocks affect non-agriculture wages in Brazil? Evidence from individual-level panel data Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-04-05 Jaqueline Oliveira, Bruno Palialol, Paula Pereda
The relationship between temperature and agriculture outcomes in Brazil has been widely explored, overlooking the fact that most of the country's labor force is employed in non-agriculture sectors. We use monthly individual-level panel data spanning the period from January 2015 to December 2016 to ask whether temperature shocks impact non-agriculture wages in formal labor markets. Our results show
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Environmental incentives facing private information Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-03-22 Franz Wirl
Environmental incentives are characterized by two distinct features: (1) a benefit-cost trade-off; and (2) private information about the trade-off. This suggests a degree of freedom of where to attach the private information, either to the benefit or the costs, as long as these choices imply the same behavior absent incentives (‘observation equivalent’). However, we show that different observation
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Fire takes no vacation: impact of fires on tourism Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-03-09 Vladimir Otrachshenko, Luis C. Nunes
Many Mediterranean-type climates around the world will face increased risks of wildfires as a consequence of climate change. In this study we consider the case of Portugal and estimate the impact of the increasing risk of forest fires on tourism. Using data for 278 municipalities for the 2000–2016 period, we find a considerable negative impact of burned areas on the number of tourist arrivals, both
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Regulators and environmental groups: better together or apart? Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-03-09 Ana Espinola-Arredondo, Eleni Stathopoulou, Felix Munoz-Garcia
This paper examines green alliances between environmental groups (EGs) and polluting firms, which have become more common in the last decades, and analyzes how they affect policy design. We first show that the activities of regulators and EGs are strategic substitutes, giving rise to free-riding incentives on both agents. Nonetheless, the presence of the EG yields smaller welfare benefits when firms
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Malnutrition pathway for the impact of in utero drought shock on child growth indicators in rural households Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-03-08 Olukorede Abiona
This paper evaluates the short-term health effects of in utero drought shock using repeated cross-section household data on Malawi. The main finding reveals that the effects of in utero harvest variability caused by rainfall shocks on child growth indices are driven by the deleterious effects of negative rainfall deviations, namely droughts. Negative rainfall deviation during the agricultural season
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Agricultural households’ adaptation to weather shocks in Sub-Saharan Africa: implications for land-use change and deforestation Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-02-26 Julia Girard, Philippe Delacote, Antoine Leblois
Agriculture in Sub-Saharan Africa is regularly threatened by the occurrence of weather shocks. We wonder whether the way farmers respond to shocks can affect land use and induce deforestation. Reviewing the existing literature, we found that this question has only been marginally studied. Drawing from the adaptation and land-use change literatures, we then expose the mechanisms through which weather
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Droughts and floods in Malawi: impacts on crop production and the performance of sustainable land management practices under weather extremes Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-01-25 Nancy McCarthy, Talip Kilic, Josh Brubaker, Siobhan Murray, Alejandro de la Fuente
Climate change is predicted to increase the frequency of extreme weather events, increasing the vulnerability of smallholder farmers dependent on rain-fed agriculture. We evaluate the extent to which farmers in Malawi suffer crop production losses due to extreme weather, and whether sustainable land management (SLM) practices help shield crop production losses from extreme events. We use a three period
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Growth and long-run sustainability Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-01-08 Robert D. Cairns, Vincent Martinet
From any state of economic and environmental assets, the maximin value defines the highest level of utility that can be sustained forever. Along any development path, the maximin value evolves over time according to investment decisions. If the current level of utility is lower than this value, there is room for growth of both the utility level and the maximin value. For any resource allocation mechanism
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How does air pollution affect housing rental prices in Chile? An economic assessment of PM2.5 concentration across Chilean communes Environ. Dev. Econ. (IF 2.383) Pub Date : 2021-01-08 Katty Gómez, Victor Iturra
This paper addresses a serious environmental concern in Chile: PM2.5 concentration, a health threat especially affecting the population living in the central and southern communes of Chile. Using housing data for 312 spatial units, along with interpolation techniques to predict air pollution for communes with missing information, we find that, on average, 1 μg/m3 increase in PM2.5 produces a decrease